American Apparel To Close Australian Stores

Stock up on bodysuits and disco pants while you can – American Apparel is set to close its Australian stores.

According to a store manager who preferred to remain unnamed, Australian staff were notified a week ago. “What happened with the US part of the business was a separate process – we [in Australia] engaged with administrators on Wednesday 9 November,” the manager said. The manager was unwilling to comment on staff payouts.

The Melbourne, Sydney and Adelaide stores have been placed in voluntary administration with the Sydney-based McGrathNicol, after the US-based brand filed for bankruptcy on Monday for the second time.

According to Bloomberg, American Apparel will likely be bought out by the Canadian T-shirt brand Gildan Activewear, which will buy the company’s remaining inventory but not any of its stores.

Broadsheet could not confirm an official closure date for the company’s three Australian stores. The store manager says there was “no exact timeline for closure” and that there was still a large amount of stock available in store.